In terms of trading volume, Bithumb, one of South Korea’s largest cryptocurrency exchanges, announced that employees are prohibited from trading Bitcoin on the trading platform. The company’s CEO revealed this decision in a Bithumb newsletter focused on improving “transaction transparency.”
Bithumb prohibits employees from conducting bitcoin transactions-individuals who do not comply with the regulations will be monitored
- Cryptocurrency trading platform Bithumb revealed that employees are now restricted from using the exchange. This means that Bithumb employees can no longer obtain internal accounts on South Korean cryptocurrency exchanges.
- Bithumb’s CEO wrote in the newsletter that the focus of this move is to improve “transaction transparency.” In addition, it is also prohibited to disclose undisclosed information, participate in unfair trade practices, and manipulate market prices to “ensure transparency in operations.”
- The South Korean Cryptocurrency Exchange further stated that “Bithumb has continuously strengthened compliance management and internal control by providing training to obtain international standard compliance management system certification.”
- According to the announcement, Bithumb’s management told employees in June that by July: “Bithumb trading accounts used by employees for investment purposes” will be banned indefinitely.
- The announcement explained that Bithumb employees had sworn to withdraw and stop using the trading platform last month. “Starting from this month, we will use continuous monitoring, self-audit and internal reporting system operations to strictly manage whether employees comply with regulations.”
- The employee ban was issued after a recent closed-door meeting between South Korean regulators and 20 digital currency exchanges. The meeting was held after the South Korean Financial Supervisory Authority explained that it would monitor South Korea’s cryptocurrency market.
- In addition to the increased regulations, officials are also concerned about South Korea’s “kimchi premium” because the value of the Korean won fiat currency of encrypted assets is higher compared to global exchange rates.
- At 11 o’clock in the morning (Eastern Time) on Friday, the price of Bitcoin (BTC) was traded at $33,529 per unit. However, during the same period of time on Bithumb, the price of BTC was $1,140 higher than the global average price of $34,669.
- At the time of writing, Bithumb’s global trading volume in the past 24 hours exceeded $1 billion or 31,499 BTC.
What do you think of Bithumb’s restrictions on employees trading Bitcoin? Please tell us your thoughts on this topic in the comments section below.
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